BPH reaches another milestone in progressing Baleen prospect
In a development that will assist in paving the way for drilling of the Baleen prospect, offshore New South Wales, BPH Energy Ltd’s (ASX:BPH) investee company, Advent Energy Ltd through its wholly-owned subsidiary Asset Energy Pty Ltd (Asset), has signed a Preliminary Well Services Agreement with Add Energy.
Advent Energy Ltd is an unlisted oil and gas exploration company held by major shareholders, BPH Energy, Grandbridge (ASX: GBA) and MEC Resources (ASX: MMR).
The group holds a strong portfolio of near-term development and exploration assets spanning highly prospective acreage onshore and offshore Australia in proven petroleum basins.
Advent Energy’s asset base also incorporates both conventional and unconventional petroleum targets.
Under the agreement, Add Energy will initiate a review of rig availability and engagement terms for the Baleen well program.
The following map shows the location of Block PEP 11 offshore Australia where the Baleen well site is situated.
Add Energy brings global experience
Add Energy will also develop a scope of supply for regulatory and environmental compliance, while also reviewing the drilling campaign schedule, including a review of the program for geosequestration drilling research as part of the Baleen drill project.
The group operates in every region of the world, including 15 locations in Europe, the Middle East, the Americas and Australia.
With this background it will bring experienced drilling and well engineering, specialised consultancy services and solutions to the energy industry on a global scale, including well design and environmental services.
Advent has submitted to the National Offshore Petroleum Titles Administrator (NOPTA) an application to enable the drilling of the Baleen drill target in the PEP11 permit offshore NSW.
Through its wholly owned subsidiary asset, Advent holds an 85% interest and is operator of the permit.
Bounty Oil and Gas NL (ASX: BUY) holds the remaining 15%.
Permit decision could provide share price momentum
The Joint Venture applied to NOPTA in 2020 for a change to the current permit conditions to proceed with the drilling.
Management confirmed today that this application which will be a material development for the group is in the final decision phase.
Prior to these developments, BPH entered into an agreement in relation to Advent’s Offer Information Statement, to sub-underwrite the Advent raising for an amount of $1,000,000.
In terms of fully capitalising on the offshore prospect, BPH appointed Professor Peter Cook as an advisor on geosequestration (the geological storage of carbon dioxide) for its project in the Offshore Sydney Basin.
This region offers the potential opportunity for NSW to make deep cuts in its CO2 emissions through CCS -Carbon Capture and Storage (geosequestration of CO2 emissions).
CCS is part of a suite of solutions with the potential to mitigate greenhouse gas emissions and help address climate change.